Comments on the 2014 Offshore Voluntary Disclosure Program and the Streamlined Procedures

Hon. David Kautter, Assistant Secretary (Tax Policy), Department of the Treasury Thomas West, Tax Legislative Counsel, Department of the Treasury L.G. "Chip" Harter, Deputy Assistant Secretary (International Tax Affairs), Department of the Treasury Doug Poms, International Tax Counsel, Office of International Tax Counsel, Office of Tax Policy, Department of the Treasury Douglas O'Donnell, Commissioner, LB&I, Internal Revenue Service Nikole C. Flax, Deputy Commissioner (International), LB&I, Internal Revenue Service John Cardone, Director, Withholding and Individual International Compliance, LB&I, Internal Revenue Service William M. Paul, Acting Chief Counsel and Deputy Chief Counsel (Technical), Internal Revenue Service Drita Tonuzi, Deputy Chief Counsel (Operations), Internal Revenue Service Kathryn Zuba, Associate Chief Counsel (Procedure & Administration), Internal Revenue Service Marjorie Rollinson, Deputy Associate Chief Counsel (International), Internal Revenue Service Carolyn Schenck, Senior Counsel (SB/SE), Internal Revenue Service These comments ("Comments") are submitted on behalf of the American Bar Association Section of Taxation (the "Section") and have not been approved by the House of Delegates or Board of Governors of the American Bar Association. [...]they should not be construed as representing the position of the American Bar Association. Contacts: Caroline D. Ciraolo cciraolo@kflaw.com (202) 790-6991 Niles A. Elber nelsber@capdale.com (202) 862-7827 Date: May 2, 2018 Executive Summary of Comments and Recommendations These Comments are presented in connection with the effort by the Department of the Treasury and Internal Revenue Service (the "Service" or "IRS") to collect information on the paperwork and other burdens facing U.S. taxpayers who are participating in one of the Service's programs to voluntarily disclose previously unreported offshore assets, and specifically in response to the Notice and Request for Comments published in the Federal Register on February 28, 2018 ("Notice and Request").1 These Comments address issues related to the Offshore Voluntary Disclosure Program ("OVDP") and the "Streamlined Filing Compliance Procedures" ("Streamlined procedures"), which consist of the Streamlined Domestic Offshore Procedures ("SDOP") and the Streamlined Foreign Offshore Procedures ("SFOP"). [...]under the terms of the programs, taxpayers came to the Service with full disclosure, supporting documents, and, when possible, full payment